❗Note: This article refers to your Chart of Accounts for an individual company. If you are viewing the settings for a consolidated group, proceed to the following help article: Consolidated Chart of Accounts.
‘Chart of Accounts’ (CoA) is found in Step 3 of the company settings.
This is an important step in the company settings. The correct order and classification of accounts will ensure the accurate calculation of your financial KPIs and a meaningful presentation of your financial statements.
The first time you import from Xero, QuickBooks or MYOB, Fathom will do its best to replicate the existing chart of accounts structure from your source accounting system in order to provide a helpful layout to start.
For subsequent updates, the structure and hierarchy of your CoA in Fathom (including ordering, headings, and classifications) will all be retained.
While Fathom will automatically classify your accounts for you, it is a good idea to review the classifications on first import to ensure they are correct.
Fathom assigns a primary and sub-classification to each account. This is how Fathom is able to recognise what kind of account it is, and this forms the basis for how the account is treated in calculations.
View the classification guidelines to see a detailed explanation about each account classification.
You can reclassify accounts in three different ways:
- Using the ‘Reclassify’ menu. When you hover over an account, you will be able to click the ‘Reclassify’ button.
- Using drag and drop. Each account can be dragged into a different classification.
- Select multiple accounts by ticking the checkbox on the left of each account. An option to reclassify all selected accounts will appear at the top of the screen.
Customising the chart of accounts layout
Selecting multiple accounts
You can quickly select a range of accounts by first selecting an account, then shift-click to select another account. All accounts between these two will be selected. This is useful if you have multiple accounts in a row that you wish to select.
Headings and Subheadings
Fathom enables you to group accounts under headings and subheadings.
Grouping accounts creates structure and hierarchy, which flows through when viewing your financial statements in the analysis tools and reports. You can then collapse and expand headings to show different levels of detail. A subtotal will be shown for every group.
For more information on creating groups of accounts under headings and subheadings, view the following help article: Headings and Subheadings.
Positioning and ordering
Easily reposition accounts by dragging and dropping. You can drag and drop accounts into different headings, or across to different classifications (eg. drag and drop an Expense account into Cost of Sales).
After selecting multiple accounts, you can reposition them by dragging and dropping, or by clicking 'Move to' in the menu bar at the top of the screen. You can then select any heading/subheading to move these accounts instantly. This is helpful if you have a large Chart of Accounts, with multiple headings.
Changing 'View/Sort' Options
You have several options to change the way you view or sort your Chart of Accounts.
This option is available by clicking the 'View/Sort' icon, found at the top-right of your CoA (next to the 'Revenue' classification heading).
Show Account Codes
Select the first checkbox to show or hide account codes. Fathom will source account codes directly from your accounting system. This option can help you to organise your accounts, or automatically re-order by account code (see 'Reorder Accounts' below). This checkbox will be greyed out if you do not have any account codes.
Show Archived Accounts
Select this checkbox to show or hide archived accounts. Show archived accounts to include them in your reporting and analysis. Hide archived accounts to reduce unnecessary clutter in your CoA. This option will be greyed out if you do not have any archived accounts.
Quickly reorder your accounts by:
- Alphabetical order
- Account code
❗Note: Fathom will respect the structure of headings and subheadings in your CoA when reordering accounts. Accounts will only be reordered by alphabet or account code within the same heading.
Chart of Account Status
You can quickly identify the status of an account using a small coloured indicator. For more information, visit our guide to Chart of Account Status updates.
Troubleshooting account classification
There are a number of ways you can investigate problems with classification of accounts. We recommend that you first go to 'Analysis > Financials' and change the view to look at the highest level of detail. You will be able to see the accounts, the values and how they are classified.
To look at the same information across a number of periods, use the Excel report titled 'Financial Results (in the Fathom import format)'.
Changing the default classification
Each account has a default classification derived from your source accounting system.
If an account is moved to a classification that is of a different nature, then Fathom will automatically switch the sign of the amounts that have been imported for that account.
For example, if an 'Expense' account with a value of $100 for January, is classified as a 'Revenue' then the amount will become -$100. In another example, if a balance sheet account is re-classified from 'Cash & Equivalents' to a 'Current Liability' then the amounts will similarly have their sign switched.